An owner whose property is in a strong market position, where fewer services can be offered to tenants for the same dollar of rental income and where the owner will not lose tenants if the property is under-maintained, is said to participate in a market that has:

Question

Quizplus · Accepted Answer

A relatively inelastic demand for space means that tenants are willing to pay higher rents even if fewer services are provided and the property is under-maintained. This suggests that the property is in a strong position in the market and has bargaining power, indicating an inelastic demand for space.

An Owner Whose Property Is in a Strong Market Position